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Regular Contributor
BlueNightStar
Posts: 181
Registered: ‎07-09-2011
0

Re: Need some gameplan advice for paying down my debt

Do you have any money in a savings account? Do you participate in your employer's 401k? If you had to pay cash for that trip, would you do it? These are questions you do not have to answer on this board but I'm throwing them out there for you to think about. You have been opening and charging on a lot of new accounts, two of which are charging you interest which in all probability negates any rewards you may be getting.

 

I was in debt for years. Some of it was out of my control but the reality is most of it was my own doing. Life is going to throw us curve balls, save money to prepare. Anything can happen that may make it impossible to pay off the 0% interest cards before the time expires. I can't even remember most of things I bought that got me so into debt. I do not have wonderful investments to show for it. There are many emotional components to money management. It wasn't until I got brutally honest with myself about my spending habits that I began to change. Sometimes I take one step forward and two steps back but I continue on with my plan.

 

Last month I overspent on things I didn't need. I haven't done that in a long time but I will not give up or berate myself. The money has to come from somewhere so I will be eating lots of pasta and sandwiches at home for a while. In the past I would just continue charging at my normal rate and tell myself I'll have the money to pay for it later. Later very rarely comes.

Frequent Contributor
RSCo
Posts: 473
Registered: ‎02-11-2013
0

Re: Need some gameplan advice for paying down my debt


NewYorkGuy wrote:

LS2982 wrote:

OK guys this is my current situation:

 

PSECU 6,200 / 12,000CL APR 9.9%

PSECU LOC 1,226 / 12,000CL APR 10%

Barclays 3,985 / 7,200CL APR 0% (15 months from 9/12)

Chase 600 / 2,300CL APR 0% (15 months from 7/12)

Best Buy 3,178 / 4,000CL APR 0% (deferred 18 mo since 12/12)

GE CareCredit 1,237 / 2,100CL APR 0% (deferred 12 months since 11/12)

Kay Jewelers 1,179 / 2,000CL APR 0% (deferred 12 months from 12/12)

GE Amazon $748 / 6,000CL APR 0% (deferred until 6/13)

 

I keep telling myself i'm not in a bad situation but seeing about 18K in debt makes me very concerned that other lenders might get spooked. As you can see most of it is on 0% cards and I have certain monthly payments set up for them which i can afford just fine. I plan on taking the next 8-10 months to clear 80% of this and a few will a little left to pay.

 

My concern is 2 things:

 

-The PSECU account. The LOC will be PIF next week, and i'll have the balance to the Vusa card down to about 5,800 next week as well. The only thing is I hate paying interest. Is it in my best interest to just keep making payments or try to find a BT offer?? I'm NOT interested in opening any new credit.

 

-My other creditors. Should be concerned that they might want to do some AA to my accounts?? I also have the AMEX ZYnc that I do not factor in this because it is a PIF card but I average 1,300 to 1,500 in spend a month on this card. This card gets all of my big bills and groceries. Would they want to FR seeing this other debt??

 

I'm sure i'm overreacting but I want some advice on this.

 

Thanks!!! :smileyhappy:


Get a hidden TL if you can and BT your debt to it. Then pay off the debt on the hidden TL. That way you can have low util on your credit report while paying down your debt over time without the worry of AA from your current creditors due to the large balances.


What is a hidden tradeline and how would you do that?  cool...

 

Citi Hilton Honors: $25,000 -- Chase Sapphire Preferred: $25,000 -- Amex PLat: $NPSL -- Amex Everyday Preferred: $10,000 -- Citi TY Premier World: $16,800 -- NWFCU: $7,500 -- Chase Amazon Rewards: $7,000 -- Citi Home Depot: $7,000 -- Citi AAdvantage Platinum Visa Sig: $5,000 -- Visa Black Card: $5,400 -- Discover IT: $8,000 -- AmexTrueEarnings: $10,000 -- Ethan AllenGE: $4000 -- Chase Slate: $2,500 -- CapOne Platinum: $2,500 -- CapOne Platinum: $2,500 -- AmazonGE: $2,200 -- Barclays BJs: $1,800 -- WalmartGE: $1,500 -- PenFed LOC: $500
Frequent Contributor
RSCo
Posts: 473
Registered: ‎02-11-2013
0

Re: Need some gameplan advice for paying down my debt


LS2982 wrote:

NewYorkGuy wrote:

LS2982 wrote:

OK guys this is my current situation:

 

PSECU 6,200 / 12,000CL APR 9.9%

PSECU LOC 1,226 / 12,000CL APR 10%

Barclays 3,985 / 7,200CL APR 0% (15 months from 9/12)

Chase 600 / 2,300CL APR 0% (15 months from 7/12)

Best Buy 3,178 / 4,000CL APR 0% (deferred 18 mo since 12/12)

GE CareCredit 1,237 / 2,100CL APR 0% (deferred 12 months since 11/12)

Kay Jewelers 1,179 / 2,000CL APR 0% (deferred 12 months from 12/12)

GE Amazon $748 / 6,000CL APR 0% (deferred until 6/13)

 

I keep telling myself i'm not in a bad situation but seeing about 18K in debt makes me very concerned that other lenders might get spooked. As you can see most of it is on 0% cards and I have certain monthly payments set up for them which i can afford just fine. I plan on taking the next 8-10 months to clear 80% of this and a few will a little left to pay.

 

My concern is 2 things:

 

-The PSECU account. The LOC will be PIF next week, and i'll have the balance to the Vusa card down to about 5,800 next week as well. The only thing is I hate paying interest. Is it in my best interest to just keep making payments or try to find a BT offer?? I'm NOT interested in opening any new credit.

 

-My other creditors. Should be concerned that they might want to do some AA to my accounts?? I also have the AMEX ZYnc that I do not factor in this because it is a PIF card but I average 1,300 to 1,500 in spend a month on this card. This card gets all of my big bills and groceries. Would they want to FR seeing this other debt??

 

I'm sure i'm overreacting but I want some advice on this.

 

Thanks!!! :smileyhappy:


Get a hidden TL if you can and BT your debt to it. Then pay off the debt on the hidden TL. That way you can have low util on your credit report while paying down your debt over time without the worry of AA from your current creditors due to the large balances.


Any suggestions?? I'm not aware of any that doesn't report and i really dont want a new account if I can stay away from it.

 


The equifax program is called

 

Fast Pay Plan

Your product includes the Fast Pay Plan - a money saving way to pay off your debts faster using your Equifax Credit Report. The Plan calculates the most cost efficient way for you to pay down your credit cards, auto loan, and any other debts - so every payment dollar works harder.

 

Citi Hilton Honors: $25,000 -- Chase Sapphire Preferred: $25,000 -- Amex PLat: $NPSL -- Amex Everyday Preferred: $10,000 -- Citi TY Premier World: $16,800 -- NWFCU: $7,500 -- Chase Amazon Rewards: $7,000 -- Citi Home Depot: $7,000 -- Citi AAdvantage Platinum Visa Sig: $5,000 -- Visa Black Card: $5,400 -- Discover IT: $8,000 -- AmexTrueEarnings: $10,000 -- Ethan AllenGE: $4000 -- Chase Slate: $2,500 -- CapOne Platinum: $2,500 -- CapOne Platinum: $2,500 -- AmazonGE: $2,200 -- Barclays BJs: $1,800 -- WalmartGE: $1,500 -- PenFed LOC: $500
Frequent Contributor
RSCo
Posts: 473
Registered: ‎02-11-2013
0

Re: Need some gameplan advice for paying down my debt


BlueNightStar wrote:

Do you have any money in a savings account? Do you participate in your employer's 401k? If you had to pay cash for that trip, would you do it? These are questions you do not have to answer on this board but I'm throwing them out there for you to think about. You have been opening and charging on a lot of new accounts, two of which are charging you interest which in all probability negates any rewards you may be getting.

 

I was in debt for years. Some of it was out of my control but the reality is most of it was my own doing. Life is going to throw us curve balls, save money to prepare. Anything can happen that may make it impossible to pay off the 0% interest cards before the time expires. I can't even remember most of things I bought that got me so into debt. I do not have wonderful investments to show for it. There are many emotional components to money management. It wasn't until I got brutally honest with myself about my spending habits that I began to change. Sometimes I take one step forward and two steps back but I continue on with my plan.

 

Last month I overspent on things I didn't need. I haven't done that in a long time but I will not give up or berate myself. The money has to come from somewhere so I will be eating lots of pasta and sandwiches at home for a while. In the past I would just continue charging at my normal rate and tell myself I'll have the money to pay for it later. Later very rarely comes.


Should NEVER touch a 401k... You're paying back pre tax dollars with after tax dollars if a loan is taken out.. Unless there's a risk of bankruptcy, or worse, 401k withdraws should be avoided at all costs..

 

Citi Hilton Honors: $25,000 -- Chase Sapphire Preferred: $25,000 -- Amex PLat: $NPSL -- Amex Everyday Preferred: $10,000 -- Citi TY Premier World: $16,800 -- NWFCU: $7,500 -- Chase Amazon Rewards: $7,000 -- Citi Home Depot: $7,000 -- Citi AAdvantage Platinum Visa Sig: $5,000 -- Visa Black Card: $5,400 -- Discover IT: $8,000 -- AmexTrueEarnings: $10,000 -- Ethan AllenGE: $4000 -- Chase Slate: $2,500 -- CapOne Platinum: $2,500 -- CapOne Platinum: $2,500 -- AmazonGE: $2,200 -- Barclays BJs: $1,800 -- WalmartGE: $1,500 -- PenFed LOC: $500
Valued Contributor
afbar1114
Posts: 2,179
Registered: ‎01-09-2012
0

Re: Need some gameplan advice for paying down my debt

LS i am trying to figure this out for my self as well i have a bit of debt i want to pay as well. i am taking about 1/2 my taxes and paying cards down or off. some i may just pay off in full. but i dont have any where what you have.....i feel that i have to many cards some times :smileysad:


In my wallet: AMEX Gold; Freedom $1.5k; CSP $5k; Chase United $5k; Discover $2k
Last HP: 4/30
Mega Contributor
LS2982
Posts: 15,436
Registered: ‎04-09-2011
0

Re: Need some gameplan advice for paying down my debt


BlueNightStar wrote:

Do you have any money in a savings account? Yes, but I wont touch it. Do you participate in your employer's 401k? No, i'm thinking about enrolling this year but im too scared of the stock market.If you had to pay cash for that trip, would you do it? Probably not. Kinda spur of the moment thing. These are questions you do not have to answer on this board but I'm throwing them out there for you to think about. You have been opening and charging on a lot of new accounts, two of which are charging you interest which in all probability negates any rewards you may be getting.

 

I was in debt for years. Some of it was out of my control but the reality is most of it was my own doing. Life is going to throw us curve balls, save money to prepare. Anything can happen that may make it impossible to pay off the 0% interest cards before the time expires. I can't even remember most of things I bought that got me so into debt. I do not have wonderful investments to show for it. There are many emotional components to money management. It wasn't until I got brutally honest with myself about my spending habits that I began to change. Sometimes I take one step forward and two steps back but I continue on with my plan.

 

Last month I overspent on things I didn't need. I haven't done that in a long time but I will not give up or berate myself. The money has to come from somewhere so I will be eating lots of pasta and sandwiches at home for a while. In the past I would just continue charging at my normal rate and tell myself I'll have the money to pay for it later. Later very rarely comes.


I'm in the frame of mind now to clear this debt over a period of 8-12 months. If I have to pay interest i'll have to eat it and keep all of my accounts in good standing. My spending has been not out of control but not really taking everything into consideration the past couple of months. I see where I am at now and this is a learning experience for me as in the past I was never accustomed to lenders being this generous to me and I by all means do not want to take advantage of this or screw it up. I've created a plan to use my AMEX strictly on Bills/Grocieries and let little recurring charges go on the other bankcards. Meanwhile making big payments on my 2 big balances. The 0% cards I have set payments on and they are attainable.

 

 




Silver Spade Garden Club Member - Last App 12/16/13 - Looking for a clean slate NO INQ's / Diamond Inspired!
Starting Score:
EX (PLUS) 583 EQ FICO 565 TU FICO 590 3/15/2011 / Goal Scores: 720
Current Score: EX FICO (PSECU) 671 (myFICO) N/A / EQ FICO 679 / TU08 FICO 678 / TU VS 706 3/6/2014
Regular Contributor
BlueNightStar
Posts: 181
Registered: ‎07-09-2011
0

Re: Need some gameplan advice for paying down my debt


RSCo wrote:

BlueNightStar wrote:

Do you have any money in a savings account? Do you participate in your employer's 401k? If you had to pay cash for that trip, would you do it? These are questions you do not have to answer on this board but I'm throwing them out there for you to think about. You have been opening and charging on a lot of new accounts, two of which are charging you interest which in all probability negates any rewards you may be getting.

 

I was in debt for years. Some of it was out of my control but the reality is most of it was my own doing. Life is going to throw us curve balls, save money to prepare. Anything can happen that may make it impossible to pay off the 0% interest cards before the time expires. I can't even remember most of things I bought that got me so into debt. I do not have wonderful investments to show for it. There are many emotional components to money management. It wasn't until I got brutally honest with myself about my spending habits that I began to change. Sometimes I take one step forward and two steps back but I continue on with my plan.

 

Last month I overspent on things I didn't need. I haven't done that in a long time but I will not give up or berate myself. The money has to come from somewhere so I will be eating lots of pasta and sandwiches at home for a while. In the past I would just continue charging at my normal rate and tell myself I'll have the money to pay for it later. Later very rarely comes.


Should NEVER touch a 401k... You're paying back pre tax dollars with after tax dollars if a loan is taken out.. Unless there's a risk of bankruptcy, or worse, 401k withdraws should be avoided at all costs..

 


Correct. I was not advocating the use of taking money from a 401k. I was pointing out the bigger financial picture. I never had a 401k or savings account until I finally realized how my overspending was a real problem.

 

 

Regular Contributor
BlueNightStar
Posts: 181
Registered: ‎07-09-2011
0

Re: Need some gameplan advice for paying down my debt

[ Edited ]

LS2982 wrote:

BlueNightStar wrote:

Do you have any money in a savings account? Yes, but I wont touch it. Do you participate in your employer's 401k? No, i'm thinking about enrolling this year but im too scared of the stock market.If you had to pay cash for that trip, would you do it? Probably not. Kinda spur of the moment thing. These are questions you do not have to answer on this board but I'm throwing them out there for you to think about. You have been opening and charging on a lot of new accounts, two of which are charging you interest which in all probability negates any rewards you may be getting.

 

I was in debt for years. Some of it was out of my control but the reality is most of it was my own doing. Life is going to throw us curve balls, save money to prepare. Anything can happen that may make it impossible to pay off the 0% interest cards before the time expires. I can't even remember most of things I bought that got me so into debt. I do not have wonderful investments to show for it. There are many emotional components to money management. It wasn't until I got brutally honest with myself about my spending habits that I began to change. Sometimes I take one step forward and two steps back but I continue on with my plan.

 

Last month I overspent on things I didn't need. I haven't done that in a long time but I will not give up or berate myself. The money has to come from somewhere so I will be eating lots of pasta and sandwiches at home for a while. In the past I would just continue charging at my normal rate and tell myself I'll have the money to pay for it later. Later very rarely comes.


I'm in the frame of mind now to clear this debt over a period of 8-12 months. If I have to pay interest i'll have to eat it and keep all of my accounts in good standing. My spending has been not out of control but not really taking everything into consideration the past couple of months. I see where I am at now and this is a learning experience for me as in the past I was never accustomed to lenders being this generous to me and I by all means do not want to take advantage of this or screw it up. I've created a plan to use my AMEX strictly on Bills/Grocieries and let little recurring charges go on the other bankcards. Meanwhile making big payments on my 2 big balances. The 0% cards I have set payments on and they are attainable.

 

 


I was not trying to put you on the spot - just wanted to give you and anyone else reading a different perspective. You are already doing more than I ever did by asking for advice and trying to formulate a plan.  I didn't realize how bad it had become for me until two of my three lenders took AA against me and raised my interest rates so high I could barely make the minimum payments. It made me angry but the anger fueled my desire to get my act together so it was a scary turning point for me.

 

Contributor
VWTUNER
Posts: 75
Registered: ‎11-12-2012
0

Re: Need some gameplan advice for paying down my debt

For a lot of people it works to cut the credit cards, mentally that way you dont have access that easily.I would advice just to use your debit card until you pay down all your debt. I know you might be missing points in your Amex card. But what about you charge and charge and then don't have the money to pif. Just my two cents.

Seriously getting into debt is not joke.
current cards
WM store
Cap1 platinum
WF secured
Amazon Chase :smileyhappy:
Gardening since 12/20/2012
Mega Contributor
LS2982
Posts: 15,436
Registered: ‎04-09-2011
0

Re: Need some gameplan advice for paying down my debt


BlueNightStar wrote:

LS2982 wrote:

BlueNightStar wrote:

Do you have any money in a savings account? Yes, but I wont touch it. Do you participate in your employer's 401k? No, i'm thinking about enrolling this year but im too scared of the stock market.If you had to pay cash for that trip, would you do it? Probably not. Kinda spur of the moment thing. These are questions you do not have to answer on this board but I'm throwing them out there for you to think about. You have been opening and charging on a lot of new accounts, two of which are charging you interest which in all probability negates any rewards you may be getting.

 

I was in debt for years. Some of it was out of my control but the reality is most of it was my own doing. Life is going to throw us curve balls, save money to prepare. Anything can happen that may make it impossible to pay off the 0% interest cards before the time expires. I can't even remember most of things I bought that got me so into debt. I do not have wonderful investments to show for it. There are many emotional components to money management. It wasn't until I got brutally honest with myself about my spending habits that I began to change. Sometimes I take one step forward and two steps back but I continue on with my plan.

 

Last month I overspent on things I didn't need. I haven't done that in a long time but I will not give up or berate myself. The money has to come from somewhere so I will be eating lots of pasta and sandwiches at home for a while. In the past I would just continue charging at my normal rate and tell myself I'll have the money to pay for it later. Later very rarely comes.


I'm in the frame of mind now to clear this debt over a period of 8-12 months. If I have to pay interest i'll have to eat it and keep all of my accounts in good standing. My spending has been not out of control but not really taking everything into consideration the past couple of months. I see where I am at now and this is a learning experience for me as in the past I was never accustomed to lenders being this generous to me and I by all means do not want to take advantage of this or screw it up. I've created a plan to use my AMEX strictly on Bills/Grocieries and let little recurring charges go on the other bankcards. Meanwhile making big payments on my 2 big balances. The 0% cards I have set payments on and they are attainable.

 

 


I was not trying to put you on the spot - just wanted to give you and anyone else reading a different perspective. You are already doing more than I ever did by asking for advice and trying to formulate a plan.  I didn't realize how bad it had become for me until two of my three lenders took AA against me and raised my interest rates so high I could barely make the minimum payments. It made me angry but the anger fueled my desire to get my act together so it was a scary turning point for me.

 


Oh your cool man I appreciate any advice given. I can be hard-headed at times if it's something I REALLY want but lately i've learned to step back and think first before spending. It's helped me alot. What I really want now is to clear this PSECU debt over time and my other cards as planned. Its like a hobby to me now im focused and ready to do this!

 

I surpised myself because I didn't think I would have it in me to post this and put my debt out there but I feel this lil community is tight knit here and we all are here to help each other and I love that.

 




Silver Spade Garden Club Member - Last App 12/16/13 - Looking for a clean slate NO INQ's / Diamond Inspired!
Starting Score:
EX (PLUS) 583 EQ FICO 565 TU FICO 590 3/15/2011 / Goal Scores: 720
Current Score: EX FICO (PSECU) 671 (myFICO) N/A / EQ FICO 679 / TU08 FICO 678 / TU VS 706 3/6/2014

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